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of <h1>Recognised associations can regulate forward contracts with bye-laws under the Forward Contracts Act, subject to government approval.</h1> Recognised associations under the Forward Contracts (Regulation) Act, 1952, can create bye-laws to regulate forward contracts, subject to Central Government approval. These bye-laws may address market operations, clearing houses, contract settlements, market rates, contract terms, dispute resolution, and member conduct. They can also impose penalties for contraventions, including fines and expulsion. Bye-laws must be published in the Gazette of India once approved, although the Central Government can waive prior publication requirements for trade or public interest. Violations of specific bye-laws can render contracts void or illegal and subject members to penalties.
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